by Dan Conway
Copyright © 2019 by Dan Conway
All rights reserved.
Published by Zealot Publishing
1325 Howard Avenue #920
Burlingame, CA 94010
No part of this book may be reproduced in any form or by any electronic or mechanical means, including information storage and retrieval systems, without written permission from the author, except for the use of brief quotations in a book review.
ISBN: 978-1-7331717-0-0 (print)
978-1-7331717-1-7 (audio book)
978-1-7331717-2-4 (ebook)
Dedication
To my sister Maureen O’Rourke, who called bullshit and laid it all on the line.
Contents
Dedication
Author’s Note
Prologue
Climbing the Ladder
Deliverance
Cypherpunks
Currents
Coffee and Confusion
Ethereum, a New Kind of Machine
Taking the Edge Off
This is Bad
A Not-So-Innocent Bystander
The End?
Refurbished
Retirement Porn
The Edge of a Cliff
Passage
Going Rogue
The Decentralized Autonomous Organization (DAO)
Deleted
Zealot
A New Year
Spring Fever
Financial Emergency
Summer Dreams and ICO Madness
Be Careful What You Ask For
HODL on for Dear Life
Head Above Water
Now
Water Colors
This is Spinal Tap
Next
Acknowledgments
Author’s Note
Due to non-disclosure agreements, I have fictionalized the content in this book relating to Acme Corporation. I describe my experience working at a big company, but it is not a description of any particular company. I’ve changed company structure and events, details about the people and consultants who work there, and significant additional information relating to Acme. As a result, this content does not portray my actual experience. Every person in the book relating to Acme is effectively a composite character, not a description of any particular person. I’ve done this on the advice of legal counsel. My intent is not to make up events, add fake drama, or create a false narrative. It is simply to describe my time at Acme Corporation so that it is not a description of any one company where I was employed during my career.
Everything else in this book happened as described, including all of the personal events during my time at Acme, and everything before and after. I’ve done my best to faithfully relate my memory of events. As with all memories, I can only attest that this is how I remember and interpret everything I’ve written about.
While all individuals described relating to Acme are fake, I’ve also changed the names of real people throughout the book to protect their privacy: my former co-worker at Blanc & Otus, “Cindy”; “George” and “Gene” at Wells Fargo; my family friend “Carlo”; the financial advisor “Carl”; the Italian restaurant owners, “Ennio” and “Martina”; the Italian driver “Matteo”; our friends “Rebecca,” “Stan,” and “Larry”; r/EthTraders “Steven,” “Tracy,” “Ryan,” “John,” and “Pelayo.” In addition, these are made-up surnames to describe real families: Taylor, Foster, Sullivan, Pattner, Vice, Shiner. In a few instances, I’ve changed identifying details for these people and families to further screen their identities.
Although I write in detail about my experiences in cryptocurrency and other financial and business matters, this is a memoir and a commentary rather than a book of business advice. Readers who are seeking information and advice about business matters should consult resources other than this book.
As a style point, throughout this book I capitalize Bitcoin and Ethereum when I refer to their blockchains. I do not capitalize bitcoin and ether when I refer to these currencies.
Prologue
When the Financial Times interviewed me for a story about cryptocurrency millionaires in March 2018, I told them the unvarnished truth:
“I invested because I wanted the underdogs to win, for once—losers like me who didn’t make the rules and didn’t have the money… We’d been forced to tweet corporate philanthropy hashtags, and we weren’t going to take it anymore.”
Even while I was working my way up the ladder, I felt like an alien in corporate America. The bureaucracy, chains of command and emphasis on fake company culture made me and most of my co-workers miserable. It brought out the worst in us. It also appeared to be a crappy way to get things done.
This is not a groundbreaking insight. Eighty-five percent of people hate their jobs, according to a 2017 Gallup study. Movies like Office Space, The Matrix, and 9 to 5 became cult hits by pointing out the obvious. Modern work sucks.
Sadly, I was never a superachiever capable of grabbing early retirement-level money. Nor was I able to follow a path leading me away from corporate America. Throughout my career, escape was always on my mind, though I had limited means to achieve it.
Then I discovered Bitcoin and Ethereum, technologies based on an entirely new organizing principle. A priesthood of true believers said cryptocurrencies could disrupt the banks, corporations, and other organizations that ran society. Or at least provide an alternative to them. I could fund these networks by buying bitcoin and ether, the cryptocurrencies that power their blockchains. I could help change the world and get rich ... not necessarily in that order.
The Onion has created a helpful guide to this new technology. It begins with a simple Q&A:
Q: What is Blockchain?
A: Do you want to talk science shit or do you want to make some fucking money?
First, the science shit (and some history).
The double-entry ledger was invented in 1340. It was a way for merchants to easily track their credits and debt. This enabled them to centrally plan their businesses for the first time. Economists believe the double-entry ledger spawned modern capitalism and, thus, the modern corporation.
In 2009, Bitcoin introduced the world to blockchain, the first triple-entry ledger. It allows an infinite number of participants to do business on a public ledger that is self-settling. Since this ledger isn’t controlled by any one party, it is decentralized. Financial transactions and, theoretically, any type of complex business can be completed on the Bitcoin, Ethereum or other public blockchain ledgers.
The big-picture implications of the triple-entry ledger are huge. Today, the world economy is controlled by corporations and banks running centrally controlled double-entry ledgers. The Internet was supposed to be free, but even it has been captured. The FAANG companies (Facebook, Apple, Amazon, Netflix, and Google) have made it a gated community.
Blockchain is an opportunity to organize in a different way. It has the potential to weaken the gatekeepers, rule makers, and monopolies through decentralization. In the years and decades ahead, it gives us a shot to revolutionize institutions the way double-entry bookkeeping did seven hundred years ago.
And it might let outsiders like me storm the castle.
Now, to the fucking money.
My story involves large sums of money. When the boom was on, I felt like Pablo Escobar, with a chirpy attitude and a closet full of dad jeans. But my story is messy and unconventional.
I’m not a traditional tech bro who struck it rich by getting in early. I had a lot more to lose when I went down the rabbit hole. I was a forty-four-year-old father of three with a conventional life on the edge of the Silicon Valley bubble. My marriage was still recovering from my past battles wi
th demons.
I’ve always had a hard time distinguishing between living life to the fullest, and selfish, self- destructive behavior like drinking too much, risking too much, and obsessing too much on any one thing as a way to make me feel different.
The particular culture of my family also played a role. My sister Kathleen, pumped her 401(k) into penny stocks during the dot-com boom. On a dare, my brother jumped off a bridge so high up that when they fished him out of the water with two broken ribs and a concussion, he was investigated for attempted suicide. And my grandfather left everything he knew in Ireland and started over in America, without a penny to his name.
It turns out that my entire identity, everything about my character and family, both admirable and loathsome—every intelligent insight, selfish and self-destructive impulse, every twist of professional fate—had prepared me for crypto.
Chapter One
Climbing the Ladder
August 10, 2010
I swiveled my chair one hundred eighty degrees between the two sides of my desk, which surrounded me. I’d practiced this move absentmindedly for five years in this same Safeway headquarters work space. Each time I landed in front of my computer, I hit refresh. I was jonesing to hear the ping of the incoming email that would change my life.
I was hoping to get an offer for a big job at Acme Corporation, a golden ticket.
My head throbbed a little bit, but I was used to that. Two years prior, in 2008, I had started drinking again after a ten-year hiatus, imposed after I blacked out at a San Francisco nightclub in my mid-twenties. I’d punched a security guard who was trying to eject me from the club and received a well-deserved Rodney King-style beating from the other bouncers. I was arrested for misdemeanor assault. The charges were eventually dropped, but I was sufficiently scared and ashamed to quit drinking for good. Or at least for ten years.
During those sober years, I’d married Eileen. Together, we’d bought a nice three-bedroom, one-bath house in Burlingame on the northern edge of Silicon Valley. By 2007, we’d added two kids to the operation: two-year-old Danny and infant Annie. Eileen told me that by 2009, we’d have three kids.
Suddenly, the urge to blow off steam was overwhelming. I was worn out by the one-two punch of parenting and trying to get ahead in my career. After my hour-long commute home through stop-and-go traffic, I was exhausted. I really wanted to enjoy jumping on the floor with my kids and pretending to be a goat. It broke my heart that it was the most difficult part of my day.
Malicious logic from the dark side suggested that I should loosen up with a few drinks. Maybe stop declining invitations to the six-bottles-of-wine dinner parties that were a staple of the hot elementary school-parent social scene we’d just been introduced to. Maybe I’d be more carefree, less priestly. It had been ten years, for God’s sake. I had grown up. Eileen had never seen me drink and was against the idea, but she didn’t leave me when I started drinking. More on that later.
Refresh, refresh, refresh.
I was far enough into my career to know the golden ticket email might not come through. But I thought it would. I was outstanding in interviews. I knew how to showcase my intelligent, personable, and ready-for-public-office side. The side that got inspired, did its homework, and didn’t settle, which, in my line of work, meant landing high-value media placements for the products or initiatives at the companies where I worked. That was the holy grail of success in public relations, my career niche.
At my first job at public relations firm Blanc & Otus in the mid-1990s, I was the best media pitcher. Through tenacity, I once landed three stories in the San Francisco Chronicle over a weekend and was rewarded with a round of applause on Monday morning. That moment is enshrined in the Dan Conway: Reliving the Moment History exhibit, open 24/7 in my mind. A few years later, at PeopleSoft, I won the Outstanding Contributor Award, which entitled the winner to five hundred stock options and an awkward hug on stage with shy billionaire CEO Dave Duffield.
In interviews, I showcased this side of my character and tried my best to hide Flip Side, the bed-wetting, escapist gimp with bad judgment who lives in the basement of my personality. Flip Side knew to shut the fuck up during interviews. He could roam around later.
Flip Side was born when I was in seventh grade and struggling through what I now realize was an acute adolescent depression. I suddenly no longer knew what to say to anyone. Life was replaced with silence, like I was a deaf person watching a movie without hearing aids or closed captions. I thought all of my hair was going to fall out (it did, decades later). My friends abandoned me and thoughtfully organized a “Hate Dan Day.” Then I recovered in high school, where I was elected class president twice, was prom king, and wrote my own column in the high school newspaper, “Conway’s Corner.”
But Flip Side returned and took up permanent residence during my next profound depression, which struck like liquid death my freshman year of college. While loud music and the sounds of towels snapping and other college hijinks seeped under my dorm room door, I lay on my bed and stared out the window at the living creatures walking by.
I also drank. A lot. After waking up on the bathroom floor of a fraternity house in a river of piss one too many times, I realized I might have a problem.
I emerged on the other side of my depressions through grit and, eventually, medication, but sober or not, I now had Flip Side as a companion. He was a devil that told me I was a real loser and that I needed something outside of myself to make me happy. In addition to substances, he hungered for diversions, dreams and recognition, even though he got nervous and screwed me up when I might have achieved those things.
Refresh, refresh, refresh.
There was an email. Crap, it was a note from my boss asking if I could meet at 3:00 p.m. I responded that I could. He wanted to discuss our fourth-quarter communications wrap-up report, a difficult, grueling project that resulted in a thirty-page document no one read. It allowed us to make the case up the chain that we needed as much or more funding for our department the following year. I’d have to work for several weeks writing the damn thing, which wouldn’t win me any praise or promotion, just a go-ahead to do everything we’d been doing again next year.
Refresh, refresh, refresh.
Down the hall, I heard the clop, clop, clop of contact on formica. I looked around the corner. An intern from the breakfast food division was dropping boxes of trail mix bars on each desk. At Safeway, this windfall happened just about every week. A can of peas, a stove cleaner, or another new or discontinued product would show up on all of our desks when we arrived for work. Eileen was always thrilled when I came home with these random items, not for monetary reasons, but because they brought back memories of her childhood. Having grown up in North Andover, Massachusetts, in a big middle-class Irish-Italian-American family, she was nostalgic about stories of things “falling off a truck”: a case of peaches, a box of purses, forty pounds of frozen beef. She would mention my canned-good treasures at dinner parties with our rich or becoming-rich tech industry friends while I stared on in shame.
Our friends had started to pull away from us financially. Some worked at Apple, Facebook, and Google. Their stock options alone were worth more than my salary at Safeway. Eileen and I stopped being able to participate in conversations about their latest vacations and luxury cars. We agreed that they were becoming shallow by discussing things we couldn’t afford.
Refresh, refresh, refresh.
Do they track these things, the number of times you hit refresh? I wondered.
Another email came through, a meeting appointment. Let’s get together to review public messaging for the packaging initiative.
A meeting I hoped I’d never have to attend.
It wasn’t that I was miserable at Safeway. The company had been good to me. But I’d hit a ceiling and needed to move on to get any higher. We needed the money, and I wanted the recognition.
There were moments when I thought I’d hit it big there, get to an executive
level, and earn the bucks and attention I craved. The high point came when I devised a plastic bag strategy that would be good for the environment, save the company millions of dollars and spare us pressure from left-leaning interest groups. I traveled to Ireland with a group of Safeway experts to study their progressive plastic bag laws. I dined in the Irish Senate. I studied everything and came home with a fully formed plan that I thought could change our company, the entire grocery industry, and my future.
A week later, my palms were sweaty, and I was presenting around a gorgeous boardroom table to Safeway CEO Steve Burd and five other top executives. My boss’s boss, a woman who didn’t suffer fools, was also there. She looked nervous. She’d seen the full measure of me. I’d spent hours with her in my car, shepherding her to various executive events. She’d seen me speak with confidence, crack the perfect joke. She’d also seen me fumble a storyline, flash self-doubt when expressing an opinion. In short, she’d seen my Flip Side jumping in to foul up my image in a cloud of insecurity.
But now, in this room, I was full of energy, and I laid out a perfectly simple plan, a win-win that I’d studied and knew inside and out. I could see that I had the attention of the execs by the way they responded to the slight humor I’d added to my deck. I lost myself in the content, in the gist of what I was saying, and that momentum prevented any doubt from creeping in.
When I finished, Steve said, “Great Job, Dan. This is going to help us find a path forward.” My boss’s boss held my eyes for a moment as I said thank you and exited the room, letting them move on to other executive matters. She looked pleased and a little surprised.